Lynet Japan Group announced a capital and business alliance with 3 companies, including SG Holdings, and raised ¥5.4 billion in total. It aims to build an end-to-end platform covering collection through resource recycling.
Lynet Japan Group announced that it would enter into a capital and business alliance with 3 companies, including SG Holdings (HD), which owns Sagawa Express. Through the collaboration, it aims to build an integrated platform covering collection through resource recycling.
The 3 partners are SGHD, JX Metal Circular Solutions (Minato, Tokyo) and U.S.-based PCS Wireless. The company will raise ¥5.4 billion through a third-party allotment and other means.
Of the funds raised, ¥1 billion will be allocated to capital investment and other purposes related to the business alliance, with the remainder scheduled for use in future M&A. The 2 companies other than PCS aim to jointly build a collection platform covering the collection of small appliances through the recycling of rare metals.
The purpose of the alliance with PCS is to strengthen sourcing capacity for the reuse business. The companies will explore a route for used smartphones and other products collected through PCS to be sold in Japan. They also aim to expand recycling through the resource recovery of devices that cannot be reused because of damage.